How to open a Russian bank account

During your first trip in Russia you can use your foreign bank card but fees may be applied here too. So, if you open your Russian bank account you will get the things easier and you will save money to make different transactions. Moreover, it will help you to deal with different bank products like credit cards and mortgages. This guide is made for you to get you to know on how to open a Russian bank account and on the following:

• banking in Russia;

• do you need a bank account in Russia?;

• before you open a bank account in Russia;

• types of Russian bank accounts;

• how to open a Russian bank account as an expat;

• mobile banking in Russia;

• opening a corporate account in Russia;

• choosing a Russian bank account;

• banking services in Russia;

• international money transfers in Russia;

• managing your Russian bank account.

Banking in Russia

Russia has 350 banks namely commercial banks, local banks, and the state-owned Sberbank. There is also the Bank of Russia as a head of those banks.

Banks in Russia have made some important steps in the last years. When it comes to big cities there are contactless payments and app-based banking. When it comes to the rural areas there is only cash as a main form of payment, and a lot of residents do not have bank accounts.

Do you need a bank account in Russia?

In case living and working in Russia a Russian bank account will help you to receive your salary and make daily payments like utility bills. If you have your Russian bank account it will be easier for you to get mortgage and buy a property in Russia.

Before you open a bank account in Russia

When you arrive in Russia please make your Russian bank account immediately in a branch. As an alternative, you can also do that online and, moreover, you can apply for a Russian bank account before you arrive in Russia. Please take into consideration terms and conditions of your bank. It may be possible in the bank that you sign application documents and provide a signature sample in person. Therefore you will need to attend a bank branch yourself and therefore it is more reasonable to wait until you arrive in Russia.

Types of Russian bank accounts

There is a lot of bank accounts in Russia that may be useful to you. And they offer you many options to choose. Those free basic accounts offer you zero-fee withdrawals from your bank’s own ATM and they charge for the other services.

There are a lot of perks like the ability to transfer money without charges, best savings rates, credit card perks and cashback options. Sometimes it is also possible to have digital-only accounts for making online purchases and contactless payments.

In Russia you can own your bank accounts in different currencies. For instance, your Russian bank account can be made in rubles for everyday deals and a second bank account I dollars or euros to transfer money home.

As an option you may own saving account to earn interest on your money. There interest rates are currently very low and plus you may qualify for a bonus rate if you have other products.

How to open a Russian bank account as an expat

Normally you need to have a residence permit in Russia to open your Russian bank account. However, some Russian banks allow non-residents or people with temporary residence status to apply for certain bank accounts.

Usually the employer will make a Russian bank account to pay your salary. If you make your bank account you will need to be registered at a Russian address. The documents that you need are different for the banks. Some accounts will require you to provide with your residence permit and proof of address. When the other banks will require you to have evidence of employment that is normally in the form of a letter from your employer. Having your online bank account will give you some advantages to manage things online but some services will require you to attend a branch. You can also have a provider that is close to your home or office.

Mobile banking in Russia

In recent time banks in Russia got more friendly with technology. Many Russian banks offer online banking services and banking apps. Thus, you will be able to make a lot of daily tasks without visiting a bank. There are a lot of online banking services like internal and foreign currency transfers, bill payments, standing orders, and electronic statements.

To set up online banking you will get a user ID number and password. A lot of Russian banks offer you SMS banking top up your mobile phone credit and transfer money.

Opening a corporate account in Russia

If you start a company in Russia, you’ll be required to set up a Russian bank account to manage payments.

A process of making a corporate account in Russia is very severe. If you apply for a corporate account, you will have to provide with the certain documents like your residence permit and the application form. What is more, you will also need to have a statement from the tax authorities. This is important to confirm that you can carry out business activities in Russia. There are a lot of corporate accounts in Russia that suite the needs of traders and freelancers for both small and large companies.

Choosing a Russian bank account

There is a variety of bank accounts in Russia that offer the best service, value for money, and convenience.

Banking from a large provider will give you an easy access to your money and choice a type of bank account that is the best for you. There can be best rates on additional products like credit cards or mortgages or cost of sending money locally and globally.

Banking services in Russia

Banks in Russia offer a range of additional services beyond current and savings accounts.

When you open a bank account, you will receive a debit card but you can apply for a credit card too.

So many credit cards are accepted in hotels and restaurants in Russia but sometimes you need to pay cash like at museums, smaller shops, and taking a taxi. When using a foreign credit card, you may need to pay foreign transaction fee and currency conversion fee.

So many banks offer loans to people with permanent residency in Russia. It depends on the purpose of the loan and your annual earnings.

Foreigner in Russia normally need a deposit of at least 20% of the property’s price.

There are a lot of insurance products from the banks like income protection products and health insurance plans.

International money transfers in Russia

Most banks in Russia offer wire-transfer services. If you make an international wire transfer, your recipient will usually receive the funds within a couple of business days. You may need to pay a fee of between 1% and 2% of the amount you’re transferring. Some banks do not make the international transfers online. Thus, you will need to go to the branch with proof of identity and the recipient’s details.

If you want to transfer money to your home country regularly you may open an account in that currency along with your Russian bank account. This can be made via the Russian or Moscow International Bank. This will mean that you can avoid the bad exchange rates.

Managing your Russian bank account

If you use internet banking or banking app you will be able to manage your Russianbank account in branch, by telephone. In Russia large banks are working longer hours. Normally the opening hours for banks are from 9:00 till 18:00 and till 14:00 on a Saturday.

You can typically access basic account services such as checking your balance and making payments via telephone banking and online. Larger providers offer translation services into English. However, you’ll likely have to visit your local bank branch to deal with more complicated issues. Russian banks usually send account statements by post, although you can choose to receive them online instead.